Key facts
- India is considering cutting import duties on pulses to curb food inflation.
- Lentils and yellow peas may see reduced tariffs, while chickpeas might retain current duties.
- Current import taxes are 10% on red lentils and chickpeas, and 30% on yellow peas.
- Duty-free imports of pigeon peas and black gram are already allowed until March 2027.
- Domestic pulse output is expected to fall significantly due to a poor monsoon.
- Food inflation in India was 5.95% in August.
India is contemplating a reduction in import duties on various pulses to bolster supply and mitigate rising food inflation, according to sources familiar with the matter. A decision to lower tariffs could apply to lentils and yellow peas, while chickpeas might remain subject to existing import taxes. Currently, New Delhi imposes a 10% tax on red lentils and chickpeas and a 30% tax on yellow peas. However, duty-free imports for pigeon peas and black gram have already been permitted until March 2027.
The consideration comes as a less-than-average monsoon season raises concerns about domestic pulse production. India, a major global producer, consumer, and importer of pulses, relies increasingly on imports to meet demand. In 2024-25, imports constituted approximately 23% of consumption, with major suppliers including Australia, Canada, Russia, Myanmar, and several African nations.
Pulses are predominantly grown in rain-fed regions, and output is anticipated to decline significantly this year due to rainfall deficits in key producing states during the June-September monsoon period. Farmers are expected to begin planting chickpeas in October, and the government may encourage a larger cultivation area by maintaining import duties on this specific crop.
Prime Minister Narendra Modi's administration has previously taken measures to control food prices, including reducing import tariffs on vegetable oils and adjusting sugar export policies. Demand for pulses typically surges during India's festive season, particularly for chickpeas, as consumers and industries prepare for celebrations.